"Unused Solar Power to Be Used for Corporate RE100, PPA Brokerage Market Also Launched"

Ministry of Industry Holds Voluntary Renewable Energy Policy Briefing Session

In the future, unused electricity from solar power generation installed in industrial complexes or by individuals is expected to be utilized as a means for companies to fulfill their renewable energy (RE100) commitments. Additionally, a brokerage market will be established where companies can directly contract with renewable energy producers such as solar and wind power through a bidding process.

On the 11th, the Ministry of Trade, Industry and Energy shared these details at the 'Voluntary Renewable Energy Policy Briefing' held at the Koreana Hotel in Seoul. The event was attended by over 150 participants, including domestic and international RE100 participating companies such as Samsung Electronics, SK Hynix, LG Innotek, and the American Chamber of Commerce in Korea (ARCHAM), as well as Korea Electric Power Corporation (KEPCO), Korea Energy Agency, and related non-governmental organizations (NGOs), to discuss improvements to domestic RE100 support systems.

At the event, the Ministry explained the policy direction for RE100 being pursued according to the 'Strategy for Expanding Renewable Energy Supply and Strengthening Supply Chains' announced in May.

The Ministry stated, "The domestic Green Premium system is an officially recognized renewable energy procurement method by the global RE100 operating organization, the Carbon Disclosure Project (CDP)," and added, "Starting this year, reflecting the requests of RE100 demand companies, the system has been improved to allow selective purchase by renewable energy source (solar, wind, etc.)." The third Green Premium bidding scheduled for November will also be improved to allow the purchase of multi-year volumes.

The Ministry further explained, "Renewable energy self-generation facilities installed in industrial complexes and residential areas are currently unused resources for RE100 and can serve as an effective additional means of fulfillment," and announced, "The government will soon complete official consultations with CDP and establish a new RE100 fulfillment method." To this end, the Ministry is considering introducing a certification system tentatively named 'REGO (Renewable Electricity Guarantee of Origin),' which would allow the sale of unused electricity from self-owned solar power facilities to RE100 subscribing companies.

The Ministry also added that it plans to pilot the opening of a PPA brokerage market in the second half of this year and will pursue expanding the scope and duration of support for PPA network usage fees. A PPA (Power Purchase Agreement) is a contract where renewable energy producers and electricity users agree on the period and price for buying and selling electricity, currently operated through direct PPA and third-party PPA methods. Opening a PPA brokerage market will enable RE100 participating companies to directly purchase renewable energy through a bidding process.

On the same day, the CDP Korea Committee (KOSIF) presented trends in global RE100 technical standards, the Korea Energy Agency discussed improvements to the Green Premium system, and KEPCO explained the implementation plan for the second Green Premium bidding in 2024.

This content was produced with the assistance of AI translation services.